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07 Jun 2007 12:00 AM by cyprus Star rating. 57 forum posts Send private message

I have been informed that if you are purchasing your property with a view to making it a rental business then you can claim 70% of the IVA back.  I don't know all the details as it doesnt apply to ourselves but it may be something that interests others.

Seems this is based on the fact that IVA is the equivalent of VAT.  In this sense if yiu are renting out and paying due tax to the Spanish I.R. then you are equally eligible to claimback your IVA. It also applies to any IVA (VAT) you pay in Spain for anything associated with the lettings etc Electricity.

Don't have anymore details.

 

Christine




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08 Jun 2007 5:47 PM by webster Star rating in Sunny south coast bu.... 86 forum posts Send private message

Thanks for this Cyprus.  That is exactly what we have done on AA HIlls, and on speaking to HMRC in the UK it seems that overseas holiday lets get the same business deductions as UK lets - so that's interest on capital loans, services, furnishings, caretakers etc.  I didn't know about the IVA.  Perhaps we should set up a separate post on the main forum as others might know more.  Webster

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